An investor who had allocated 20% of their investment portfolio to alternatives, such as private market real estate, in 1995 would have earned twice as much as an investor who used a more traditional portfolio allocation of stocks and bonds during the same period.1 Read more about the 20% rule made famous by the Chief Investment Officer of the Yale Endowment.
Thanks to advancements in federal regulations and proprietary technology, you can invest like a billion-dollar institution by diversifying into the once-unattainable asset class of private market real estate with Fundrise.
Reduce correlation, volatility — and ultimately risk.
Risk reduction is at the heart of meaningful diversification strategies, including the 20% rule. By investing across and within uncorrelated asset classes, you can build a stronger portfolio capable of performing in both good and bad markets – which gives it the ability to possibly provide the most stable return profile possible.
Investment in commercial real estate can help hedge against loss from rises in inflation. Unlike other hard assets, real estate can also produce income while it appreciates. As cities grow, demand for real estate increases, but supply is geographically limited, so both property value and rental income can increase with demand.
Potentially earn higher returns.
Strong diversification not only positions you to minimize loss, it also sets you up to maximize returns. Strategic investment choices in uncorrelated assets classes allow you to take the least amount of risk needed to earn your target return.
On top of receiving exposure to a strong diversifying asset class, with Fundrise you also get diversification within that asset class. Every Fundrise portfolio is made up of dozens of individual real estate assets, which means you can get broad diversification across:
To a once-unattainable investment class
Better than expected projected returns through a superior model
By a real estate team with more than $10 billion in experience
Across dozens of individual properties
The Fundrise net annualized return is not representative of any individual investor's performance, which is likely to vary depending on when they invested and the allocation of their portfolio.
The publicly filed offering circulars of the issuers sponsored by Rise Companies Corp., not all of which may be currently qualified by the Securities and Exchange Commission, may be found at fundrise.com/oc. For investors and potential investors who are residents of the State of Washington, please send all correspondence, including any questions or comments, to email@example.com.
© 2020 Fundrise, LLC. All Rights Reserved. eREIT, eFund and eDirect are trademarks of Rise Companies Corp. Proudly designed and coded in Washington, DC.